Global markets are experiencing significant volatility following the outbreak of war between a US-Israel coalition and Iran, which began on Saturday, March 1, 2026.

US Markets: Volatile but Resilient Tuesday’s Dramatic Trading Session: The Dow Jones plunged over 1,200 points at the opening bell By market close, the Dow had recovered to down 400 points The S&P 500 recovered ground in the afternoon but still ended lower

This pattern shows investors panic-selling early, then bargain-hunting as the day progressed.

Oil & Gas Prices Surge Gas prices jumped 30% to a three-year high Oil prices surging on fears of shipping disruptions Energy costs driving renewed inflation concerns

The spike reflects fears that the conflict could disrupt global oil supplies, particularly if the Strait of Hormuz becomes compromised.

Global Markets European markets rallied Wednesday on a report claiming Iran is engaging in “secret outreach” to end the war, offering a glimmer of hope for de-escalation.

Expert Commentary Goldman Sachs CEO David Solomon expressed surprise at the market’s reaction: “I think the market reaction has been more benign, given the magnitude of this.”

While volatile, markets have not collapsed as some feared, suggesting investors are pricing in a contained conflict rather than a full regional war.

Key Takeaways

Bottom line: Markets are reacting with volatility but not panic. Investors appear to be weighing the risk of prolonged conflict against hopes for diplomatic resolution. Watch oil prices and any developments regarding the Strait of Hormuz as key indicators going forward.